Analyst Highlights Growing Iran-Russia Alliance

Arwin Ghaemian, a political analyst based in Tehran, has written an article about the “strategic alliance” between Tehran and Moscow, explaining what Iran has gained from Russian President Vladimir Putin's recent visit to Tehran for a trilateral summit with Turkey.

The following is the text of his article:

The trilateral summit that took place in Tehran on July 19th between the presidents of the Islamic Republic of Iran, the Russian Federation, and Turkey, the most significant outcome of which was the formulation of a road map to resolve regional crises, leading to a dramatic shift in the world order and a subsequent decline of the United States’ malign hegemony in West Asia. This historic summit illustrates that due to Iran’s unique geopolitical position, Tehran has become a hub for diplomatic negotiations to address regional and international crises.

Strengthening economic, military, and political cooperation between Russia and Iran was one of the main priorities of this summit.

Iran and Russia have maintained solid cooperation over the last few decades, and their anti-Western political ideologies have contributed to developing joint politico-economic strategies. It seems that an emerging alliance between Tehran and Moscow to thwart US-NATO hegemony has been reinforced by the outbreak of the Ukraine conflict and the imposition of severe Western sanctions against Russia’s energy industry.

Since the beginning of the hostilities in Ukraine, this was the first time the Russian strongman, Vladimir Putin, had left the realm of former Soviet Union’s republics.

By choosing Tehran as the destination for his Middle Eastern one-day visit, Putin is explicitly signaling to his Western adversaries that Russia is diplomatically isolated and attempting to reinforce his position on the Eastern Front by strengthening relations with Iran, Russia’s traditional ally.

Reinvigorate Iran’s oil and gas industry

According to observers, one of Iran’s main gains during Tehran’s trilateral conference was the offer of a 40 billion dollar Russian-state-owned Gazprom investment contract in Iran.

Under the terms of the preliminary agreement, Gazprom will assist the National Iranian Oil Company (NIOC) in developing oil and gas fields and constructing LNG pipelines. In addition, the agreement involves a project worth $10 billion in the Kish and North Pars gas fields in the Persian Gulf, as well as a vast program worth $15 billion to enhance pressure in South Pars, which is the largest gas field shared by Iran and Qatar.

Mohsen Khojasteh-Mehr, Director of the NIOC, described this Memorandum as “one of the biggest foreign investments in the history of Iran’s oil industry.”

“The long-term cooperation between Iran and Russia is very beneficial for both nations” (...). There are agreements and contracts between the two countries, notably in the oil and gas sectors, that must be pursued and fully implemented, Iran’s Supreme Leader, Ayatollah Sayyid Ali Khamenei, said in a communiqué, underlining the energy cooperation between Tehran and Moscow.

Iran’s ascendancy will grow in Syria

Given that Ukraine has become an existential priority for Russia and, therefore, there is a crucial need for Russian troops and equipment in Ukraine’s entrenched conflict, there will ultimately be a military vacuum in Syria, which Moscow does not want the United States to fill.

During the last Tuesday’s summit in Tehran, It has been reported that Vladimir Putin approved for Iran to maintain a military presence east of the Euphrates River. This strategically key area has long been of utmost importance to Iran and its Syrian Arab Army.

According to pundits, with Iran gaining strength in eastern Syria and the departure of the American occupying forces, the reopening of the Iran-Iraq-Syria corridor would likely lead to the connection of Iran to The Mediterranean Sea. In other words, if achieved, this massive initiative would resurrect the ancient Silk Road, which will definitely have financial advantages for all countries in West Asia and the international community.

However, Tehran and Moscow have already voiced their vehement opposition to such an invasion.

For years, Russia had adopted a relatively passive approach vis-� -vis frequent Turkish incursions into northeastern Syria. However, with Turkey’s anti-Russian stance and the sale of Baykar Bayraktar TB2 drones to Kyiv, the Kremlin has finally chosen to pursue a hardline stance toward Ankara.

In his meeting with the Iranian Supreme Leader, the Turkish President, Recep Tayyip Erdogan, was again warned by Ayatollah Khamenei that any military offensive against Syrian territoriality integrity would undoubtedly be detrimental to Turkey and the entire region and exhorted the Turkish President to settle the crisis through diplomatic means.

Since the beginning of the armed insurgency in Syria in 2011, Russia and Iran have supported the democratically-elected Syrian government, whereas Turkey backs the hardline opposition in the northern Idlib province.

Russia and Iran: Partners in Dedollarisation

Iran and Russia will soon sign a treaty on strategic cooperation, expanding their cooperation in the banking and finance sector, and abandoning the use of the dollar to denominate their commerce, Dmitri Peskov, the Kremlin’s spokesperson, was cited as saying in an interview with an Iranian television station, before Putin visited Tehran.

Nasser Kandil, a prominent Lebanese commentator, argues that the rising international economic powers known as BRICS, headed by Russia, China, and India, and Iran’s imminent admission is a great success. BRICS will support the growth and development of independent economies and boost the volume of investment and trade exchanges by replacing the dollar and euro with their own national currencies to render the American sanctions utterly ineffective.

Despite the tragic civilian causalities, Ayatollah Khamenei’s unequivocal support for the Russian special military operation in Ukraine against NATO’s vicious encroachments was a clear indication to the US-led western block that the relationship Moscow-Tehran relationship is metamorphosing into a genuine strategic partnership, as the war in Ukraine altered the Russian economic perspective. Today, Moscow is becoming more isolated from Western markets. Thus, the Kremlin regards Iran as an indispensable economic partner and seeks to utilize Iran’s expertise to circumvent the US unilateral sanctions by substituting the rial and ruble for the dollar.

Today, The Kremlin has accelerated efforts to move away from the dollar after the US and its allies imposed unprecedented sanctions to punish Russia for its military activities in Ukraine. Putin said he discussed the increased use of national currencies in trade with Iran’s leader.

North-South Corridor: Iran, the lifeline of the Russian economy?

In light of the fact that the western block has imposed an embargo on Russian maritime and aviation trade, Iran will be a viable channel for the passage of Russian commodities, as the shortest path for Russian goods to reach the main ports of the Persian Gulf is through the Iranian railroad to the strategic port city of Bandar Abbas.

It is evident that the North-South Corridor will provide enormous transit revenues for the Iranian state coffer.

During the recent visit of the Russian President to Tehran and his meeting with Ayatollah Khamenei, the Russian President stressed the importance of completing the Rasht-Astara railway and operating the North-South Corridor.